What Is the American Institute of Banking (AIB)? The American Institute of Banking was formerly an organization founded and overseen by the American Bankers Association (ABA). The AIB’s primary purpose was providing specialized training courses and certifications for the banking industry. It worked alongside the Institute of Certified Bankers (ICB) which was also an ABA
What Is an Associate In Claims (AIC)? In the insurance industry, an associate in claims (AIC) designation signifies specialized training and skills in the handling of various types of insurance claims. It is often pursued by those working in the insurance industry as claims adjusters, and it can be a valuable asset for those pursuing
What Is the Associate In Management (AIM) Designation? The Associate In Management (AIM) Designation is a professional certification in the insurance industry. Its focus is on those professionals occupying a supervisory or managerial role, with the aim of enhancing their interpersonal and decision-making abilities. Training in the AIM program is focused on subjects such as
What Are Average Indexed Monthly Earnings (AIME)? Average indexed monthly earnings (AIME) are used to calculate the primary insurance amount (PIA), which is used to determine an individual’s Social Security benefits. AIME works by taking into consideration the 35 years that represent an individual’s top earnings. Those top-earning years are then indexed to factor in wage growth and
What Are Aged Assets? Aged assets are goods that have outlived their usefulness and require upgrades. Aged assets have nothing to do with the aging of receivables. Those searching for a way to incorporate the aging of machines and other items into their financial statements should look into the depreciation of assets instead. Key Takeaways
What Are Agency Automatic Contributions? Agency automatic contributions are contributions made by the federal government to an employee’s Thrift Savings Plan (TSP) that equals 1% of their pay. Once federal government employees establish a TSP, the agency they work for automatically makes a contribution equal to 1% of their basic pay each payday. That occurs
What Is an Agency Debenture? An agency debenture is debt (bonds) issued at a fixed, or variable, interest rate by a United States federal agency or a government-sponsored enterprise (GSE), for the purposes of procuring funds to finance their activities, which usually entails purchasing mortgages from various lenders. Key Takeaways Agency debentures are debt, or
What Is an Agency Bond? An agency bond is a security issued by a government-sponsored enterprise or by a federal government department other than the U.S. Treasury. Some are not fully guaranteed in the same way that U.S. Treasury and municipal bonds are. An agency bond is also known as agency debt. Key Takeaways Federal
What Is Agency by Necessity? Agency by necessity is a type of legal relationship in which one party can make essential decisions for another party until legally recognized agents like someone with power of attorney or guardianship are put in place. The courts recognize agency by necessity during an emergency or urgent situation under which
What Is Agency Cost of Debt? The agency cost of debt is the conflict of interest between shareholders and debtholders or creditors of a firm based on the decisions made by management. The agency costs of debt would specifically be the actions taken by debtholders in restricting what management can do with their capital if they
